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Mackrell International South Carolina Employment and Labor Law—A Brief Overview. May 29, 2012 David Dubberly. South Carolina Payment of Wages Act. S.C. Code Ann. §§ 41-10-41 to 41-10-110 Notify at time of hire in writing Wages and hours Time and place of payment Deductions from paychecks

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mackrell international south carolina employment and labor law a brief overview

Mackrell InternationalSouth Carolina Employment and Labor Law—A Brief Overview

May 29, 2012

David Dubberly

south carolina payment of wages act
South Carolina Payment of Wages Act
  • S.C. Code Ann. §§ 41-10-41 to 41-10-110
  • Notify at time of hire in writing
    • Wages and hours
    • Time and place of payment
    • Deductions from paychecks
    • Policies on vacation, holiday, and sick leave
south carolina payment of wages act1
South Carolina Payment of Wages Act
  • Notify of changes other than raises in writing seven days in advance
  • No deductions from wages unless
    • Required or permitted by law
    • Employee has been notified
south carolina payment of wages act2
South Carolina Payment of Wages Act
  • Upon termination for any reason
    • All wages due must be paid
    • Within 48 hours or by next regular payday if within 30 days
  • If disagreement on wages due
    • Give written notice of employer’s position
    • Pay amount conceded to be due
south carolina payment of wages act3
South Carolina Payment of Wages Act
  • Penalties for failure to notify
    • $100 per offense
  • Penalties for failure to pay
    • Treble damages
    • Employee’s attorney’s fees and costs
    • Potential personal liability for managers
south carolina illegal immigration reform act
South Carolina Illegal Immigration Reform Act
  • S.C. Code Ann. §§ 41-8-10 to 41-8-140
  • Enroll in E-Verify
  • Use E-Verify to confirm work authorization
    • For all new employees
    • Within three days of hire
south carolina illegal immigration reform act1
South Carolina Illegal Immigration Reform Act
  • Do not knowingly or intentionally employ unauthorized alien
  • Otherwise may have imputed license to employ workers and do business in SC suspended or revoked
  • Enforced by SC Dept. of Labor, Licensing, and Regulation
    • Random audits
    • Complaint investigations
south carolina employee handbook law
South Carolina Employee Handbook Law
  • S.C. Code Ann. § 41‑1‑110
  • Employee handbook or other personnel document
    • NOT contract of employment as matter of law
    • IF includes “conspicuous” disclaimer
south carolina employee handbook law1
South Carolina Employee Handbook Law
  • What is conspicuous disclaimer?
    • First page of document
    • Underlined CAPITAL LETTERS
    • (For handbooks) signed by employee
  • Possible language
    • Handbook is not employment contract
    • At-will statement
    • Cannot be changed by oral statements
    • Right to change, interpret, make exceptions, etc.
south carolina trade secrets act
South Carolina Trade Secrets Act
  • S.C. Code Ann. §§ 39-8-10 to 39-8-130
    • Based in part on Uniform Trade Secrets Act
  • Employee obligation
    • Every employee has duty to refrain from using or disclosing employer’s trade secrets
  • Information is trade secret if it
    • Has independent economic value due to its secrecy
    • Is subject to reasonable efforts to keep it secret
south carolina trade secrets act1
South Carolina Trade Secrets Act
  • Definitions
    • “Economic value” = gives or could give owner advantage over competitors because of its secrecy
    • “Secret” = not generally known or easily accessible to others in industry
    • “Reasonable efforts” = information is secured, labeled, and disclosed only on “need to know” basis
south carolina trade secrets act2
South Carolina Trade Secrets Act
  • Trade secrets
    • Parts checklist, production plans, parts delivery schedule for manufacturing plant
  • Not Trade Secrets
    • Customer lists if names on lists available to public through proper sources
    • Formulas for products if “readily available from the suppliers of [the] raw materials”
south carolina trade secrets act3
South Carolina Trade Secrets Act
  • Remedies
    • Actual damages or unjust enrichment
    • Exemplary damages
    • Injunctive relief
    • Attorney’s fees
    • Criminal penalties
south carolina non compete law
South Carolina Non-Compete Law
  • Based on SC case law
  • Non-competes disfavored, but generally upheld if
    • Necessary to protect legitimate business interest of employer
    • Reasonably limited as to time and place
    • Not unduly restrictive
    • Reasonable from public policy standpoint
    • Supported by valuable consideration
south carolina non compete law1
South Carolina Non-Compete Law
  • Reasonable time restriction
    • No longer than reasonably necessary to protect employer’s business interests
    • SC Supreme Court has enforced non-competes with otherwise valid restrictions lasting three years or less
    • Unlimited duration not enforceable
south carolina non compete law2
South Carolina Non-Compete Law
  • Reasonable geographic restriction
    • No broader than area in which employee involved in active marketing efforts
    • Without geographic term not enforceable
    • Prohibition against contacting existing customers can be valid substitute
south carolina non compete law3
South Carolina Non-Compete Law
  • Valuable consideration
    • Hiring even if on at-will basis
      • But not continued at-will employment by itself
    • Promotion with increase in pay
questions comments
Questions/Comments?

David Dubberly

803-253-8281

[email protected]

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